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This paper investigated the effect of Earnings Quality (EQ) on the growth of manufacturing firms in Nigeria during the period 1996-2006 using an ex-post facto research design. We determined the earnings quality and growth of 26 listed firms in Nigeria. Our findings revealed that the quality of earnings had significant effect on Turnover Growth (TUG). However, earnings quality proxies had mixed effects because Earnings Predictability (EPRE) had a significant negative effect. The Value Relevance (VALR) and Accounting Conservatism (CONS) had a significant positive effect, while Accrual Quality (AQUA) had an insignificant negative effect on Turnover growth of firms. The study concludes that Earnings quality is useful in determining the growth of firms.
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Akintoye et al. (2019) studied this question.